These High-Yielding Oil Stocks Think They're Ridiculously Cheap
The equity market values of oil pipeline companies Plains All American Pipeline (NYSE: PAA) and Plains GP Holdings (NYSE: PAGP) have plunged more than 60% this year. While the oil market downturn has impacted operations, the combined company's earnings have held up much better than its stock market value. Because of that, it's launching a $500 million repurchase program to start gobbling up some of their beaten-down equity.
Plains All American Pipeline -- the sole asset of Plains GP Holdings -- recently reported its third-quarter results, which were under some pressure from the challenges facing the oil market. Overall, adjusted EBITDA declined by 7% during the period while distributable cash flow was flat. That came in slightly ahead of the company's expectations due to better performance at its transportation and facilities segments as oil volumes have come back a bit quicker than initially expected.
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Source Fool.com
